Tax warning to workers in the sharing economy
MILLIONS of Australians are raking in income from the sharing economy but they are being warned to understand the tax implications.
Latest figures from Treasury estimate that in 2017 the sharing economy was worth a massive $15.7 billion, and more than 10.8 million Australians were predicted to earn some form of income this way.
Popular sharing economy income streams include food delivery, ride-sharing and being an Airbnb host.
The Australian Tax Office has warned people need to understand tax applies when earning income through these methods and those who think they can get away with not paying tax on their earnings should think again.
The ATO has sophisticated data-matching processes that examine more than 650 million pieces of data at tax time. This includes drilling down into sharing economy platforms.